Company Reports

Cintas reported fiscal 2027 first-quarter organic sales growth of 8.9% year over year. Record gross margin and 90 basis points of operating margin expansion drove earnings per share up 13.3%. Management raised its full-year revenue and EPS guidance.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

Cintas reported fourth-quarter sales growth of 8.9% year over year. With strong gross and operating margin expansion, earnings per share grew 15.6%. Over the full year, revenue and earnings per share compounded 8.9% and 11.6%, respectively.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The company offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

Cintas reported 8.9% sales growth year over year with 20 basis points of operating margin contraction, but a lower tax rate resulting in 8.4% earnings-per-share growth. Cintas also announced the acquisition of UniFirst for $5.5 billion.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

Cintas reported 9.3% sales growth year over year with 30 basis points of operating margin expansion but a higher tax rate, resulting in 10.4% earnings per share growth for the fiscal 2026 second quarter. Results were led by strength in Cintas' first aid, safety, and fire protection business units.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

Cintas reported just under 9% sales growth year over year, along with 30 basis points of operating margin expansion, but a higher tax rate resulted in 9.1% EPS growth. Shares were trading flat on Sept. 24.

Cintas reported 9% organic sales growth year over year with 20 basis points of operating margin expansion but a higher tax rate resulting in 8.2% EPS growth. Shares traded up 2.5% on the morning of July 17.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

Cintas reported third quarter results the morning of March 26th, with quarterly organic sales rising nearly 8% year-over-year. The firm's gross and operating margin each expanded well over 100 basis points, resulting in almost 18% earnings per share growth. We've raised our fair value estimate to $168 from $162 to reflect management's more bullish revenue and earnings guidance.Cintas continues to trade at nearly 50 times forward earnings, a steep premium to the market and considerably above our fair value estimate. The market doesn't seem to mind, sending the stock up around 9% this morning. Cintas enjoys sticky customer relationships, dominant scale, and a stellar management team, but the shares are looking rich.In our view, this quarter was business as usual for Cintas. Its cost advantage continues to strengthen as the firm grows its footprint and adds new customers. Although we haven't seen what a prolonged economic slowdown would do to Cintas since the recession in the late 2000s, we believe its resilient business model and diversified customer base will help buoy its returns above its cost of capital regardless of the macro environment.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

On the morning of Jan. 7, Cintas made public its proposal for an all-cash acquisition of UniFirst for $275 per share, over a 60% premium to UniFirst's Jan. 6 share price. This is not Cintas’ first attempt at approaching UniFirst, but the news sent UniFirst shares up over 25%. We’ve left Cintas’ fair value estimate unchanged to reflect the uncertainty of a successful acquisition.

Cintas reported second-quarter results on Dec. 19, with quarterly total and organic sales rising 7.8% and 7.1% year over year, respectively. Its first aid and safety segment had the greatest impact, growing 12.4% from last year and experiencing more than 300 basis points of operating margin expansion. In total, operating income grew more than 18% year over year and earnings per share grew nearly 20%, reflecting Cintas’ strong operating leverage and economies of scale. We’ve raised our fair value estimate to $162 per share from $158 as a result of Cintas’ continued near-term success.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

After taking a fresh look at the outsourcing behemoth, we’ve increased Cintas’ fair value estimate to $158 per share from $137. The increase in our fair value estimate is a result of more bullish long-term growth and margin expansion expectations. We’ve upgraded Cintas’ Capital Allocation Rating to Exemplary from Standard based on management’s superb investment decisions.

Cintas is by far the largest provider of outsourced uniform rentals and facility services in North America. The business has successfully fended off competition and side-stepped obsolescence for almost a century. Employee and facility appearance and cleanliness are extremely important for Cintas’ target businesses such as hotels, restaurants, and hospitals. Moreover, the manufacturing of supplies, the maintenance of building safety systems, and the performance of specialized workwear have to follow increasingly strict global regulations, which we think pushes more and more businesses to outsource noncore services to a professional like Cintas. The firm offers its services cheaper than the customer can achieve through economies of scale derived from its national footprint and gargantuan quantity of sourced supplies.

Wide-moat Cintas reported fiscal 2025 first-quarter results (ended August) that reflect continued healthy growth across all three business segments. Organic top-line gains were mostly in line with our forecast, while operating margin came in slightly ahead, likely due to lower energy-related outlays. Fiscal 2025 revenue and EPS guidance were largely in line with our model assumptions. We've raised our fair value estimate to $137 from $130, due to slightly higher long-term margin assumptions and the time value of money. Note our fair value estimate reflects the September 2024 4-for-1 stock split. In our view, the stock is still rich relative to our long-term free cash flow forecasts.